PT Indocement Tunggal Prakarsa (INTP) Q1 2024 earnings summary

Executive summary

• Q1 domestic cement and clinker sales volume reached 4,479k tons, up 4.1% YoY; net revenue fell 3.8% to Rp4,082,568 million amid lower pricing and a higher bulk mix.

• EBITDA was Rp685.2bn at a 16.8% margin; net profit was Rp238,029 million, down 35.9% YoY.

Financial highlights

• Gross profit was Rp1,180,172 million versus Rp1,275,921 million YoY; gross margin was 28.9% versus 30.1%.

• Cost of revenue declined to Rp2,902,396 million from Rp2,969,756 million, while operating expenses rose to Rp876,564 million from Rp822,210 million.

• Operating income was Rp313.9bn, down 7.5%; EBITDA fell 11.2% and net profit declined from Rp371,373 million.

• Profit before tax was Rp298,017 million versus Rp468,170 million; finance costs rose to Rp48,115 million from Rp13,456 million.

• Export volume was 70k tons, down 55.2% YoY; lower consolidated pricing reflected a higher bulk mix and fighting brands.

Outlook and guidance

• 2024 domestic cement volume forecast remained growth of 2–3%, with strong bulk demand and rising bulk mix expected in Java and outside Java.

• More green cement sales were expected in 2024, including slag and hydraulic bulk cement and lower-clinker bag cement following SNI approval.

• Samarinda terminal silos and a fully operational readymix plant were positioned to supply IKN, smelter and hydropower projects in Northern Kalimantan.